Ziad Company had a beginning inventory on January 1 of 270 units of Product 4-18-15 at a cost of $19 per unit. During the year, the following purchases were made.

Mar. 15 720 units at $22

Sept. 4 630 units at $25

July 20 450 units at $23

Dec. 2 180 units at $28

1,800 units were sold.

Ziad Company uses a periodic inventory system.

Determine the cost of goods available for sale.

Question

Business

Laylah Morgan

11 May, 02:04

Ziad Company had a beginning inventory on January 1 of 270 units of Product 4-18-15 at a cost of $19 per unit. During the year, the following purchases were made.

Mar. 15 720 units at $22

Sept. 4 630 units at $25

July 20 450 units at $23

Dec. 2 180 units at $28

1,800 units were sold.

Ziad Company uses a periodic inventory system.

Determine the cost of goods available for sale.

+1

Answers (1)

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Kamden · Answer 1

Cost of goods available for sale = $52,110

Explanation:

Giving the following information:

January 1: 270 units at $19 per unit

Mar. 15: 720 units at $22

Sept. 4: 630 units at $25

July 20: 450 units at $23

Dec. 2: 180 units at $28

The cost of goods available for sales is a previous step to calculating the cost of goods sold. It is the total cost of the units prepared to be sold.

Cost of goods available for sale = 270*19 + 720*22 + 630*25 + 450*23 + 180*28 = $52,110